According to CoreLogic, median rents in the Tasmanian capital went down by 2.3% over the quarter to $454, close to the record-high decline in September 2012 when rents fell due to the weak economic growth and an uptick in unemployment.
Overall, national median rents went down by 0.5% over the quarter. Sydney recorded the most substantial decline next to Hobart at 1.3%. Capital cities have been bearing the brunt of the economic shocks arising from the COVID-19 outbreak. In fact, rents in state capitals declined by 0.7% in the quarter, compared to the 0.2% rise in rents across regional markets.
The report said several rental demand factors, which have been affected by the COVID-19 outbreak, have contributed to Hobart's rent decline.
For instance, the city's workforce has significant exposure in the accommodation, food, arts, and recreation sectors. In fact, 12.7% of Hobart workforce is in these sectors, higher than the average of 9% across other capital city regions.
||12 month Growth
||Weekly Median Advertised Rent
||Gross Rental Yield
Source: CoreLogic, August 2020
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